Question:
Tick (✓) the correct answer:
The present population of a town is 24000. If it increases at the rate of 5% per annum, what will be its population after 2 years?
(a) 26400
(b) 26460
(c) 24460
(d) 26640
Solution:
(b) 26460
Here, $A=P \times\left(1+\frac{R}{100}\right)^{n}$
$=$ Rs. $24000 \times\left(1+\frac{5}{100}\right)^{2}$
$=$ Rs. $24000 \times\left(\frac{105}{100}\right)^{2}$
$=$ Rs. $24000 \times\left(\frac{21}{20}\right) \times\left(\frac{21}{20}\right)$
$=$ Rs. $(60 \times 21 \times 21)$
$=$ Rs. 26460